WOW! Quite the discussion going on, here!
First, to answer Mike's question - Fairfield U is paying those fees, or WVOF wouldn't be allowing *ANY* music on the air at all.
When I became a Christian in late 1985, I didn't even know such a thing as CCM even existed! I basically went from listening to secular top 40 almost 24/7, to listening to *NOTHING*
! Into early 1986, all I knew, musically, was the hymns we sang in church, and Jimmy Swaggart! It wasn't until I discovered WLIX "Christian 54" on the AM dial in mid 1986 that I discovered a whole new world! "Christian Radio"!!
I was hooked! Then in late 1986, while desperately trying to find something, ANYTHING playing Christian music on FM, I came across New Creation on WVOF, a tiny, local college station. After a few months, God opened a door for me to host a show on that station in the summer of 1987... and then He opened the greatest door of all, at WFIF! I served Him there for 20 years!
So... don't automatically dismiss AM as a viable medium!
Regarding that AM station... if given the choice to grab an FM, GO FOR IT! However, if God makes it possible to get *BOTH*, then grab both with both hands, and hang on!
Check out your market... what kind of Christian radio is presently available within the coverage areas of those stations? Is there a K-Love or AIR1 station already there with good signals? Perhaps a mostly-talk/teaching station? Maybe a Southern Gospel station? Here's my suggestion: Use that AM station to present a format that is mellower, geared toward older listeners. (Yes, "Integrity Hosanna!, Maranatha!, Steve Green, Twila Paris, etc, etc.) You could also even use that AM to reach Seniors! (Mellow music, Traditional hymns, programming geared toward those 55+)
Then use the FM to serve those young 'uns.
(Teens, soccer Moms, etc.)
Thinking of young 'uns... You also have an incredible opportunity with FM that few stations take advantage of, and that is SUBCARRIERS! There is an organization that provides Christian children's programming 24/7, called "His Kids"... although I just now discovered some possible issue with making their SCA radio receivers available, so I just e-mailed them. "Stay Tuned"...
With TWO stations, your ministry outreach could be multiplied.
I'll certainly pray that the Lord opens the right doors, and makes available resources, both financial, and personnel! GOD BLESS!